If you have to transfer money from one account to another within the same bank or credit union, it’s as simple as making an in-person visit, making a phone call, or going online.
However, it’s less straightforward if you bank at multiple financial institutions, need to contribute to a retirement fund or send money to someone at a different bank. Even so, you have several options to complete this process. It’s just a matter of finding the right one for you!
The PennyHoarder.com explains how to transfer money between different banks.
Automated Clearing House (ACH) transfers are among the securest (and most common) methods to transfer money between different bank accounts.
With an ACH, you need to connect the two bank accounts through your bank’s mobile app or website. There are a few pieces of information you need to have on hand to complete the process. To ensure the process goes smoothly, make sure you have the:
- Name of the other bank
- Other account owner’s full name
- Type of account that you want to deposit your money
- Routing number
- Account number
- Recipient’s details such as phone number and address
For this example, imagine you need to transfer money from your checking account at Bank #1 to your savings account at Bank #2. Here’s what you would do:
Find The Right Transfer Page
Sign in to your Bank #1 account online or with the mobile app. Navigate to the menu bar and select the “Transfer Funds” option. Then find the selection for external transfers and pick the option similar to “Link an external account.”
Verify That You Are The Owner Of The Account
Give Bank #1 your account and routing numbers for your account at Bank #2. You can use a check to find your account and routing numbers. You can find your routing number — nine digits long — on the bottom left side of the check. Your account number should be located to the right.
Verify Your Account
Once Bank #1 verifies that you are the account owner, it will ask you to verify your account. Typically, banks use third-party programs that sign in to your other bank account for you or make negligible deposits and withdrawals.
For the first choice, you will need to give Bank #1 your login details for Bank #2. If you have two-factor authentication turned on, it may complicate this step. The advantage of using a third-party program is that you can verify your account right away. However, it does mean giving sensitive personal details to another bank.
Your second option will take more time, but it’s more secure. In this case, Bank #1 completes several deposits into your Bank #2 account. The transactions are tiny — usually no more than a dollar. This option usually takes several business days.
Transfer Your Money
After you connect your two accounts, you can transfer your money between the two. Plus, once they’re connected, you don’t have to worry about repeating this process in the future.
Writing A Check To Yourself
Writing yourself a check is another way to move funds from different bank accounts. For instance, if you want to transfer from your checking account at Bank #1 to your savings account at Bank #2, simply find your checkbook, write a check for the correct amount, and address it to yourself. Then, you can either deposit the check at one of Bank #2’s branches or use the mobile banking app to complete the transfer.
Withdrawing And Depositing Cash
If you don’t have a checkbook, not to worry. All you need to do is visit your nearest branch (or ATM), withdraw the money you need, and head over to the second bank (or ATM) and make a deposit.
Using A Money Transfer App
If you use an app to transfer money, you can usually find the recipient (whether you or somebody else) by searching for their username. To avoid sending your money to somebody else, make sure you use a unique username or confirm with the other person that they have the correct information.
- Moore, Timothy. “Here’s How to Transfer Money From One Bank to Another.” The Penny Hoarder, The Penny Hoarder, 20 Oct. 2020, www.thepennyhoarder.com/bank-accounts/how-to-transfer-money-from-one-bank-to-another/?aff_sub2=homepage.